Kuwait Oil Company (KOC) is an oil company headquartered in Al Ahmadi, Kuwait. It is a subsidiary of the Kuwait Petroleum Corporation (KPC), a government-owned holding company.

As of 2024, Kuwait's oil production is approximately 2.4 million barrels per day (bpd), largely in line with its OPEC+ quota, while its sustainable production capacity is estimated at 2.9 million bpd. The country has a long-term strategic goal to increase its production capacity to 4 million bpd by 2040.

Kuwait nationalized its oil industry in 1975. KOC holds the sole rights to explore, produce, and develop oil and gas resources within the state of Kuwait. Kuwait's oil reserves are estimated to be around 101.5 billion barrels.

History The Kuwait Oil Company Limited was established on 23 December 1934 as a joint venture between the Anglo-Persian Oil Company (now BP) and the American Gulf Oil Company (now Chevron). The company began drilling operations in 1936.

Oil was first discovered in 1938 at the Burgan field, which remains one of the largest oil fields in the world. Subsequent discoveries were made in Magwa (1951), Ahmadi (1952), Raudhatain (1955), Sabriya (1957), and Minagish (1959). The first commercial export of crude oil commenced in 1946.

During the Gulf War, as Iraqi forces withdrew from Kuwait in 1991, they set fire to over 700 Kuwaiti oil wells in an act of environmental sabotage. The fires burned for months, causing catastrophic environmental damage, until the last well was capped on 6 November 1991. To address the long-term consequences, KOC and the Kuwaiti government established the Kuwait Environmental Remediation Program (KERP) in 2013. In 2023, KOC signed contracts worth $1.73 billion to expand KERP's soil remediation efforts.

+ Wells completed Year Oil Gas Dry Feet 1937 0 0 1 1947 5 0 0 23,818 1948 24 0 0 116,112 1949 49 0 0 246,773 1950 13 0 0 61,188 1951 20 0 1 89,985 1952 21 0 2 98,555 1953 17 0 0 73,100 1954 12 0 1 56,638

+ Production by year, by field (x 1,000 barrels) Year BurganMagwaAhmadi Raudhatain Sabriyah Gudair Minagish Bahrah 1946 5,931 1947 16,225 1948 46,547 1949 89,930 1950 125,722 1951 204,910 1952 273,433 1953 314,592 1954 347,319 1955 398,494 1956 399,871 1957 416,045 1958 509,720 1959 504,855 1960 559,100 35,200 1961 553,926 41,900 1,400 1962 620,000 47,200 2,100 1963 647,700 48,700 3,500 5,600 1964 682,200 53,700 14,100 4,200 20,600 1965 693,200 56,900 17,000 4,900 19,900 1966 716,800 61,400 22,600 4,900 24,800 1967 723,800 59,900 22,600 4,900 25,500 1968 759,700 71,200 26,900 4,900 23,400 1969 777,600 77,200 29,700 33,500 20,600 1,400 1970 806,500 77,900 60,200 32,800 19,300 1,400 1971 858,700 81,600 71,200 34,200 20,700 1,400 1972 882,000 83,900 74,300 34,900 21,300 1,400 1973 809,200 76,400 67,900 32,800 19,300 1,400 1974 665,100 77,000 45,000 25,000 18,500 0 1975 530,400 78,500 25,000 19,000 18,000 1976 574,100 80,453 14,689 13,024 17,715 1977 533,860 70,644 14,825 12,637 18,028 1978 552,700 90,200 32,300 8,300 9,600 1979 618,130 128,369 40,918 14,357 7,419 1980 398,000 70,000 25,300 7,000 6,000

Operations KOC's operations are focused on the exploration, drilling, and production of oil and gas within Kuwait. The company manages the nation's key oilfields, including the supergiant Burgan field. KOC produces several grades of crude oil, including Kuwait Export Crude (KEC), Kuwait Super Light Crude (KSLC), and developing its heavy crude oil from the Lower Fars field.

Strategic Goals and Recent Projects KOC is implementing a long-term strategy to significantly boost its production capacity and diversify its energy sources. Production Growth: The central goal is to raise oil production capacity to 4 million bpd by 2040. This involves enhancing oil recovery from mature fields and developing new reservoirs, including heavy oil and offshore resources. Offshore Exploration: In late 2023, KOC launched its first offshore drilling campaign in decades, deploying rigs in the Persian Gulf to explore for oil and gas reserves. This marks a strategic pivot to unlock new sources of production. Durra Gas Field: KOC is proceeding with plans to develop the Durra gas field, located in the neutral zone shared with Saudi Arabia. This project is critical for meeting Kuwait's growing domestic gas demand but is subject to regional geopolitical disputes. Renewable Energy: To diversify its energy mix, KOC is collaborating with the Ministry of Electricity and Water on large-scale renewable energy projects. In May 2024, they announced a plan for a 1-gigawatt solar energy project, seeking a global operator to build and manage the facility under a long-term power purchase agreement.

See also

Petroleum industry in Kuwait

Notes

References

External links